Employment Rights Bill

Gavin Williamson Excerpts

Report stage
Wednesday 12th March 2025 Commons Chamber

[Gregory Stafford]

My right hon. Friend makes a key point. The change since yesterday has been interesting. Yesterday, Labour Members were clear about declaring that they were members of trade unions, but only today have they suddenly realised that they should be declaring the amount of money that they are receiving directly.

We heard yesterday from the shadow Secretary of State for Levelling Up, Housing and Communities, my hon. Friend the Member for Thirsk and Malton (Kevin Hollinrake), that the legislation will allow unions to bypass current rules, such as the rules on opting out of political donations. It must be fantastic news to the Labour party that it will now receive donations from workers by default, while businesses will face reduced notice periods for strikes, leading to even more disruption and economic damage. It is clear to me, and to the hundreds of businesses that have pulled their support for this Government, that this is not about protecting employment rights, but about consolidating union power.

Let us briefly look at some of the amendments. Amendment 292 would require trade unions to notify their members every year of their right to opt out of the political fund, and to obtain an annual opt-in. That change would ensure that unions do not continue to fill Labour’s piggybank, and do not lock workers into automatic donations unless they actively opt out, which is as much a memory test as an admin task. Unamended, clause 52 is not about transparency, but about keeping the money flowing to the political party with the most to gain.

Likewise, there are new clauses and amendments that would have introduced transparency about the facilities provided to trade union officials, learning representatives and equality representatives. Clauses 54 and 56 are designed to reduce transparency and accountability for union spending, allowing union officials to continue to benefit from facility time without proper scrutiny.

[Sir Gavin Williamson (Stone, Great Wyrley and Penkridge) (Con)]

Will my hon. Friend give way?

[Gregory Stafford]

I will, for the last time.

[Sir Gavin Williamson]

Does my hon. Friend agree that there is an interesting contrast in the Government’s approach? They are quite happy to put extra burdens, responsibilities and work on businesses of all sizes, yet when it comes to any element of transparency or giving members of trade unions a real choice and understanding of where their money is going, they refuse to do that.

[Gregory Stafford]

The disparity—I will put it no stronger than that—that my right hon. Friend mentions is stark. Anybody watching these proceedings outside this House will absolutely agree that the Government want to put extra burdens and regulations on business, but when it comes to the trade unions, transparency goes out the window. Why is that happening? The answer is simple and clear: unions have significant influence over this Government. While the Deputy Prime Minister and her Cabinet colleagues are pushing for these changes, they do not even do what the measures state. Key figures including the Chancellor, the Foreign Secretary and the Home Secretary are all guilty of hiring under terms that are odds with the new regulations. Why would they introduce such a Bill when they themselves do not comply with it?

Just like the more than 200 Labour MPs who have taken union donations, the Deputy Prime Minister has her own interests to consider. In her opening remarks yesterday, she proudly disclosed her union membership while conveniently admitting to the £13,000 in union donations that she has taken. It is clear that union influence is driving this legislation and most likely writing the speeches of Labour Members. The Government claim to be

“pro-growth, pro-business and pro-worker”—[Official Report, 21 October 2024; Vol. 755, c. 46.]

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[Gregor Poynton (Livingston) (Lab)]

It is a pleasure to speak on this vital Bill as it passes its remaining stages. I draw the House’s attention to my declaration in the Register of Members’ Financial Interests. I am a proud member of the GMB and Community trade unions. I am particularly pleased to speak in today’s debate, because at one of my regular coffee mornings on Saturday, a constituent of mine, Phil, told me that I needed to be doing more to promote the benefits of this legislation. I am not sure that making a speech in the House of Commons meets Phil’s expectation of promotion, but that conversation showed me how important this legislation will be for working people in the Livingston constituency.

The Government have rightly tabled amendments to the Bill to ensure that we deliver reforms that are both pro-business and pro-worker. Although Conservative Members have tried to make much of the number of Government amendments, we remember that they are still the party of “Eff business”. With their opposition to the Bill, they show that they are “Eff workers”, too.

What the amendments in fact demonstrate is the commitment of the Minister and the Government to listening and consulting with a huge range of stakeholders on these issues, delivering the largest upgrade in workers’ rights in many decades, but in a way that does right by businesses and good employers, ensuring that they have the conditions and environment they need to encourage investment and create jobs.

This Bill will support the Government’s critical mission for growth by increasing productivity and putting money back in people’s pockets. It will deliver real-life improvements.

[Sir Gavin Williamson]

Can the hon. Gentleman set out five ways that the Bill will improve productivity for businesses?

[Gregor Poynton]

I will certainly come on to that, but one way is that the Bill will improve employment relations in workforces. In the past 14 years, we have seen strike after strike because of the Conservatives’ approach to industrial relations. This change will improve productivity.

The Bill will deliver real-life improvements that will be felt across Britain. Key amendments that strengthen protections for the lowest-paid workers will ensure that all workers are treated with the decency they deserve. I welcome the vital steps that the Bill takes to extend protection, from exploitative zero-hours contracts, to protecting the voice of working people and strengthening statutory sick pay.

As a member of the Business and Trade Committee, I have been able to scrutinise large businesses that choose to have zero-hours contracts in place. In one evidence session, I heard from a company representative who revealed that employees can have their shift changed at 24 hours’ notice, but not receive a single penny in compensation. The Bill is vital in addressing the challenges of financial planning faced by families who are dependent on zero-hours contracts. More than 1 million people on such contracts will benefit from the guaranteed hours policy. Crucially, the Bill will ensure that Governments work with businesses, and will support employers who endeavour to comply with the law. With the Government amendments, it will also expand and strengthen the powers of the fair work agency to bring civil proceedings against non-compliant employers at employment tribunals and to issue civil penalties, such as fines, to employers who breach pay-related rights and underpay their staff.